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Cross-chain Technology

Cross-chain Technology aka Interoperability is increasingly becoming the ultimate solution for enhancing applications between blockchains to enable optimal efficiency and decrease fees. In other words, cross-chain technology allows the transmission of value and information between different blockchain networks.

The number of blockchain projects is on the rise in part because developers are thinking outside the box as they try to leverage the technology’s capabilities.

The increase also comes on acknowledgment that no perfect solution will be able to address all blockchain needs at once. A perfect example is the IOTA blockchain that seeks to enhance payments on the Internet of Things. VeChain, on the other hand, shares similar capabilities but with the aim of strengthening supply chain management on the blockchain.

Blockchain Interoperability Benefits

Blockchain interoperability allows blockchain systems to communicate with one another without the help of Intermediaries. The result is the development of fully decentralized systems and social coordination that is entirely interoperable.

Cosmos

Cosmos is a network of sovereign blockchains that communicate via IBC (Inter-Blockchain Communication), an interoperability protocol modeled after TCP/IP for secure transfer of data and value.

The Cosmos Hub, also known as "Gaia," is a Proof-of-Stake (PoS) chain with a native token, $ATOM, that acts as the primary hub for routing transactions and data between blockchains within the Cosmos network. The Cosmos Hub, like the majority of blockchains in the Cosmos network, is secured by a Byzantine Fault-Tolerant (BFT) Proof-of-Stake consensus algorithm called Tendermint.

ATOM

Cosmos

Polkadot

Polkadot is a blockchain network designed to support various interconnected, application-specific sub-chains called parachains (short for parallelized chains). Each chain built within Polkadot uses Parity Technologies' Substrate modular framework, which allows developers to select specific components that suit their application-specific chain best.

Polkadot refers to the entire ecosystem of parachains that plug into a single base platform known as the Relay Chain. This base platform, which also leverages Substrate, does not support application functionality but instead provides security to the network's parachains and contains Polkadot's consensus, finality, and voting logic.

DOT

Polkadot

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